Thursday, December 11, 2014

Adria to sell jets to repay debt

Adria Airways selling and leasing back two CRJ900s

The Slovenian government has approved plans for its national carrier, Adria Airways, to sell and lease back two Bombardier CRJ900 aircraft in an attempt for the airline to stabilise its finances and pay off debt. Last month, the Slovenian carrier ran into liquidity problems with some staff failing to receive their wages on time. Sale and leaseback arrangements are common in the aviation industry with jets sold to another party and then immediately leased back by the former owner. The money raised from the sale will be used to repay loans and subsequently bolster the company's liquidity and credit rating, Adria said on Monday. Despite tumbling jet-fuel prices, Adria says its main expense is fuel, while the other is air navigation charges by Slovenian Air Traffic Control.

Adria’s CEO, Mark Anžur, said the company is currently conducting a comprehensive restructuring of its fleet as it looks to cut costs. The fleet size will be reduced and preference given to larger jets. In the short-term, Adria plans to wet lease several A320-family aircraft in 2015, while a total of five or six jets will join the fleet by 2016. Mr. Anžur says Adria is also considering leasing aircraft larger than the A320. While the airline’s CEO believes his company will end the year breakeven, unofficial data suggest Adria has registered a two million euro loss so far in 2014. Last year the carrier registered a loss of 2.9 million euros and carried just over one million passengers.

Meanwhile, last Friday, the Slovenian Sovereign Holding (SSH), officially announced the start of Adria’s privatisation process, which will take place in early 2015. “The procedure is in the preparatory phase and sales activities are due to begin during the first half of next year”, the SSH said in a statement. The company is majority owned by the state (69.9%), with the state-owned Bank Asset Management Company (BAMC) holding an additional 19.6%. The remaining stock is mainly held by commercial banks, which have tried to offload their holdings in the past. The last attempt to sell Adria was undertaken in August 2012. Several prospective bidders reportedly came forward but the sale was shelved without explanation.

45 comments:

  1. I couldn't help but admire how good Adria's livery looks on those birds.

    I wonder what sort of aircraft larger than the A320 Anzur is referring to? Maybe an A321, or is he talking even bigger?

    NS|SAN

    ReplyDelete
    Replies
    1. Maybe a321, what else? Anything bigger is useless for Adria.
      Hope they will sell it, but I sense a big resistance from Anzur and Co.

      Delete
  2. By it are you referring to the airline itself?

    NS|SAN

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  3. Basically they are playing with basic company capital since they have lose money that they can't put on Slovenian tax payers. Nice.

    ReplyDelete
  4. I just don´t get it:

    Adria is a "hybrid low coast", but the ticket to Zurich, Munich or Frankfurt from SJJ via LJU is MUCH more expensive than via VIE or ZAG?

    Every other hybrid low coast company in Europe (Germanwings, Norwegian, Edelweiss,...) is much cheaper (up to 2 times) than Adria.

    ReplyDelete
  5. OT
    Does anyone know what's going on with beg.aero? It seems they are experiencing issues with their new website.

    ReplyDelete
    Replies
    1. Warning message is running on the home page. Probably something technical.

      Delete
    2. OT: Norwegian nove linije u ljetnom redu letenja: Dubrovnik- Madrid, Dubrovnik-Barcelona

      Delete
    3. Since yesterday, YU-ANJ is back in the skies. I guess it's C check is complete. I wonder when the next Airbus bird will go. So far it was only YU-APJ... or was it API.

      Delete
    4. ATH-BEG on Aegean's A319 was about 60% full today.

      Delete
  6. Nista cudno to radi i SK.
    INN-NS

    ReplyDelete
  7. OT: Am I hallucinating or Air Croatia will start operations with FOUR destinations: Budapest, Prague, Rome and Milano??? That is a insane move!

    ReplyDelete
  8. OT: For some reason I see Swiss's A330 landing at Pula. WTF??

    ReplyDelete
    Replies
    1. It is circulating above Pula for about 10 minutes, so really wtf?

      Delete
    2. Emergency landing?

      Delete
    3. It's a training flight for Swiss A330 pilots. They do it often at Pula.

      Delete
  9. They are insane, BUD is too close and cheaply served by train, MXP is 4 hrs by car, but PRG could be nicely filled during summer, and FCO would be much faster than with OU dash flight with stops in SPU/DBV so they could fill those. They desperately need new website and connections with tourist agencies to attract people, which will be hard after 2 delays. Personally, I think they are doomed before start and will never fly.

    ReplyDelete
    Replies
    1. You´re insane, MXP is more than 600km away from Zagreb......so it´s a bit more than 4 hours driving.....

      Delete
    2. If you are driving 150, and full highway to milan, its possible, but yea, unrealistic

      Delete
    3. a granica i cestarine...?

      Delete
    4. 1 granica sa osnovnom kontrolom i linijom EU građani (najviše 5 minut)

      ENC u Hrvatskoj dva usporavanja ne više od 1 minute izgubljene

      U Sloveniji nema ni cestarine (svi imamo vinjete za SLO) ni granice sa Italijom

      1 cestarina u Italiji, najviše 5 minuta.

      Kroz Hrvatsku se većina vozi 150 km na sad, dobar dio i 170 (to je 30 EUR kazne ako platiš na licu mjesta, ništa strašno), kroz Italiju svi voze 140 km/h što je 130 km/h + tolerancija. Ako se ne žuriš 5 sati, 4 nije nerealno.

      Delete
    5. Nema teorije da u Milano stigneš za 5h iz Zagreba. Od Trsta do Milana, a posebno pred Milanom je uvijek gužva na autocesti. Ne jednom mi se dogodilo da sam stajao na obilaznici. A pri tome ne računam na čekanja pred naplatnim oko Milana.

      Sve to naravno ne znači da da će Air Croatia uspjeti na toj ruti...ako ikada uopće poleti.

      Delete
  10. OT: What is happening with our friends from TangoSix.rs? They used to be asleep for days and suddenly they post multiple news stories each day? Did someone buy them to turn the site into aviation clickbait?

    ReplyDelete
    Replies
    1. Provrednili se ;)

      Delete
    2. Dobro je ako je tako. Pomislio sam da ću na T6 odjednom da vidim naslove tipa "10 načina kako vas let avionom podmlađuje!" ili "Skandal: Kim Kardašijan polomila nokat u prvoj klasi!"

      Delete
  11. More than 1.000 suporters from Scotland came to Zagreb with 7 planes.

    ReplyDelete
  12. sorry for the OT (and its non-aviation):

    how much is the train from ZAG to LJU (or Bus), cant get any price online.
    The IC bus from DeutcheBahn cost 10€ when booking it form Germany. is that an ok price or shuld i buy there in ZAG

    Thanks and pozdrav!

    ReplyDelete
    Replies
    1. That price is o.k.. Also, try here http://voznired.akz.hr/

      Delete
    2. Train on way: 16,40, two ways 26,20

      Delete
  13. W6 trazi A320 Non Type Rated Cadet Pilots i FR takodje ali za B738
    INN-NS

    ReplyDelete
  14. EgyptAir A330 in BEG this morning, routing Bangui via Cairo, any idea?

    ReplyDelete
    Replies
    1. Srpski plave slemove je prevozio.
      INN-NS

      Delete
  15. Close down this clan airline.
    No taxpayers money anymore!
    Many unemployed in Slovenia -every day more- and here throwing money intoA dria again and again year after year day after day hour after hour.

    ReplyDelete
    Replies
    1. To feed like pigs managers, stratetigsts, econonomists, consultants that can't get any job on a competitive market. Only state public jobs and only in Slovenia and only by connections. Useless.

      Delete
  16. Talking of Slovenia, Air Serbia goes double daily to Ljubljana from tomorrow!

    ReplyDelete
  17. Kako se racuna tranzitni putnik? 1 ili 2?

    ReplyDelete
    Replies
    1. Kao dva, po jedan na svakom letu.

      Delete
    2. Nas su na fakultetu (SF) učili da se transferni putnik računa jednom.

      Delete
    3. Avio kompanije uglavnom danas racunjaju putnike po letu, nezavisno da li je on tranzitni ili lokalac.

      Delete

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